Category Archives: Economy/Stock Market

The indices traded lower on Monday with many Healthcare stocks leading the downswing on a variety of economic news. New home sales decreased in August. Newly constructed home sales dipped 7.6% to an annual rate of 609,000 units, versus July’s upwardly revised addition of 659,000 units. Sales exceeded consensus expectations of 595,000. The markets rallied on Tuesday with Technology brands leading the way up amid the release of favorable consumer sentiment data. The Conference Board Consumer Confidence Index added 2.3 points to 104.1 in September, a level not seen since August 2007. The result far exceeded an expected reading of 98.8, and was up from 101.8 in August. Stocks rallied alongside a lift in crude oil on Wednesday. West Texas Intermediate crude tacked on 4.52% to settle at $46.69 a barrel. Following a three-day energy meeting in Algeria, the Organization of Petroleum Exporting Countries (OPEC) agreed to reduce oil production to 32.5 million barrels a day in November. Stocks sold off on Thursday, trading lower on a variety of economic news. Gross Domestic Product levels ticked up in the second quarter as the Bureau of Economic Analysis’ third estimate showed real GDP increased 1.4%, slightly above the prior two quarters and prior estimates. Consumer spending tacked on 4.3% over the quarter. Additionally, initial jobless claims climbed with Labor Department figures showing new claims rose by 3,000 to 254,000, while continuing claims decreased by 46,000 to 2.062 million in the week ended September 17. Technology and Financial stocks stepped up on Friday. West Texas Intermediate crude oil also rose, adding 0.29% to settle at $47.97 a barrel. The University of Michigan’s Consumer Sentiment Index hit 91.2 this month versus expectations of a 90 reading. In other items, U.S. personal income increased slightly in August, matching estimates. Bureau of Economic Analysis data showed incomes rose 0.2% last month, versus July’s 0.4% gain.

The market indices kicked off the week with losses; however, the S&P 500 index only declined 0.04 point marking the smallest percentage move for the index in either direction since October 2014. On Tuesday, indices closed with slight gains. Housing construction took a breather as Commerce Department data showed starts slipped 5.8% in August to hit an annual rate of 1.14 million units, versus expectations of an annual pace of 1.18 million units. West Texas Intermediate crude rose by 0.66% to settle at $44.15 a barrel. Positive moves continued mid-week when the NASDAQ closed at a new record level. Stocks stepped up following the release of comments from the latest Federal Reserve meeting. In a 3 to 7 vote to keep rates unchanged, the Federal Open Market Committee indicated the possibility of a hike has strengthened. Currently, economic risks “appear roughly balanced.” Energy Information Administration data showed domestic oil reserves decreased by 6.2 million barrels last week, versus an expected gain of 3.25 million barrels, which resulted in West Texas Intermediate crude increasing 2.9% for the day. Indices closed the session with gains on Thursday. Initial jobless claims declined last week as Labor Department data showed new claims decreased by 8,000 to 252,000. Investors also heard more down housing news as sales of existing homes slipped by 0.9% in August, but were up 0.8% from a year ago. Like Monday’s results, the markets ended Friday’s trading session in the red. Energy brands retreated following a dip in crude oil. West Texas Intermediate crude fell 4% to settle at $44.48 a barrel. Thankfully, for the week, the major indices still eked out a gain.

The markets kicked off the week closing well into the green zone on Monday. Many stocks rebounded from Friday’s downswing on Federal Reserve comments. In a speech on Monday in Chicago, Fed Governor Lael Brainard cautioned prudence in raising interest rates. Indices closed lower on Tuesday with Energy stocks retreating amid a drop in crude oil. West Texas Intermediate crude dipped 3% to settle at $44.90 a barrel. Additionally, the International Energy Agency reduced its demand estimates by 100,000 barrels a day for this year and by 200,000 daily barrels in 2017. The trading session closed with mixed moves on Wednesday, as the Dow Jones Industrial Average and S&P 500 shed some points while the NASDAQ added slight gains. West Texas Intermediate crude oil fell by 2.9% to settle at $43.58 a barrel. On Thursday, volatility returned to stocks after a relatively flat summer, after spending 43 trading days without a 1% move. Thursday’s 1% gain for the S&P 500 marked the fourth session out of five in which the index swung 1% or more. Financial and energy companies dragged down U.S. stocks on Friday with the three major indices falling. For the week all three indices posted weekly gains with the NASDAQ experiencing its biggest weekly jump since July. 

After the Labor Day holiday, the major indices closed in the green zone on Tuesday, with the NASDAQ hitting a new record high thanks to good performance in many Technology brands. West Texas Intermediate tacked on 1.02% to settle at $45.50 a barrel. The ISM Non-Manufacturing Index showed services fell to 51.4 last month, versus an expected reading of 55, down from 55.5 in July. The markets ended trading mixed on Wednesday, as the Dow Jones Industrial Average and S&P 500 shed some points while the NASDAQ closed at a new record level again. The Federal Reserve’s Beige Book, which covered economic activity from July through mid-August, showed a modest to moderate pace across most districts. Additionally, an anecdotal read on the 12 districts showed labor markets continued to tighten, and that energy markets had seen signs of stabilization. West Texas Intermediate crude added 1.34% to settle at $46.07. Stocks traded lower on Thursday as a result of a variety of economic news. Crude oil prices ramped up following an unexpected dip in domestic reserves. U.S. inventories decreased by 14.5 million barrels over the last week versus an expected increase of 200,000 barrels. West Texas Intermediate crude oil added 4.22% to settle at $47.42 a barrel on the news. Labor Department data showed new claims fell by 4,000 to 259,000 for the last week. The red results continued into Friday amid rising interest rate concerns. Meanwhile, West Texas Intermediate crude shed 3.7% to settle at $46.46 a barrel.

Indices closed trading with mixed moves on Monday as the Dow Jones Industrial Average and S&P 500 ended fractionally in the red while the NASDAQ posted slight gains. Energy brands led the S&P lower while West Texas Intermediate crude oil slipped 3.52% to settle at $46.81 a barrel. Stocks gained on a lift in crude oil and other news to close in green territory on Tuesday. West Texas Intermediate crude settled at $48.01 a barrel, while the Commerce Department data showed 654,000 new homes sold in July versus forecasts of 581,000. The stock retreat returned on Wednesday. Energy Information Administration data showed a gain of 2.5 million barrels in reserves over the past week, versus expectations of a lesser uptick of 200,000 barrels, resulting in oil trading lower. The dip continued through Thursday as investors’ attention was on the Federal Reserve’s annual Jackson Hole meeting. Friday’s session ended mixed. Both the Dow and S&P shaved some points while the NASDAQ closed in green territory. Moves were mixed in the wake of Federal Reserve comments. In a speech at the Economic Policy Symposium in Jackson Hole, Wyoming, Fed Chair Janet Yellen said, “The U.S. economy has strengthened to the point where another rate hike will soon be warranted.” According to the second estimate from the Bureau of Economic Analysis, real Gross Domestic Product ticked up 1.1% in the second quarter, just shy of the 1.2% advance estimate. On another note, consumer confidence slipped slightly in August. The University of Michigan Consumer Sentiment Survey shed 0.2 point to 89.8 from 90 in July. Results fell short of an expected reading of 91.

The week started out strong with the major indices closing at all-time record highs on Monday. Stocks rallied on a lift in crude oil, as West Texas Intermediate crude added 3.19% to settle at $45.91 a barrel. The record setting did not last long as the market landed in red territory on Tuesday when stocks traded lower on the release of a variety of economic news. The Consumer Price Index was unchanged last month following four straight months of gains. The core CPI, which discounts food and energy, edged up 0.1% which was slightly shy of expectations. On another note, residential construction levels ticked up in July. Total housing starts climbed 2.1% and are up by 5.6% from July 2015. Industrial production increased by 0.7% in July, exceeding consensus expectations. Stocks experienced turbulent trading midweek following the release of the minutes from the July Federal Reserve meeting; however, the market still closed with gains on Wednesday. Comments from the Federal Open Market Committee revealed a split opinion on when to next increase interest rates. Energy Information Administration data showed a downswing of 2.5 million barrels in U.S. reserves over the week ended August 12. The result was well beyond an expected decline of 200,000 barrels. The news pushed West Texas Intermediate crude up to settle at $46.79 a barrel. The markets were mixed most of Thursday, but closed the day down, likely because of the lack of guidance from the Fed on Wednesday about the future of interest rates. Indices closed in the red zone on Friday, rebounding from early losses to end marginally lower. West Texas Intermediate crude added 0.35% to settle at $48.39 a barrel.

The market closed in red territory on Monday, with Healthcare stocks trading lower while Energy stocks stepped up. In mergers and acquisitions news, Wal-Mart Stores Inc. has agreed to acquire e-commerce startup Jet.com for $3.3 billion. The deal includes $3 billion in cash and $300 million in shares to be paid over time. Trading closed slightly in the green zone on Tuesday. Bureau of Labor Statistics data showed productivity dipped by 0.5% versus expectations of 0.5% growth. Additionally, West Texas Intermediate crude oil shed 0.6% today to settle at $42.77 a barrel. Indices were down on Wednesday as the Financial and Energy sectors led the S&P 500 lower. Meanwhile, crude traded lower on Energy Information Administration figures showing reserves increased by 1.1 million in the past week versus expectations of a decline of one million barrels. Dow Jones Industrial Average, S&P 500 and NASDAQ ramped up to all-time record highs on Thursday. A jump in crude oil and positive retailer news propelled the session. West Texas Intermediate crude ticked up 4.08% today to settle at $43.41 a barrel. On another note, Labor Department data showed new claims fell by 1,000 to 266,000 versus expectations of a decline to 265,000. Trading ended with mixed moves on Friday as the Dow and S&P 500 shed some points while the NASDAQ reached a new all-time record high. Moves were mixed on a variety of economic news. Retail sales levels were unchanged in July. June’s increase was upwardly revised from 0.6% to 0.8%. Meanwhile, consumer confidence is up this month. In a preliminary reading for August, the University of Michigan’s consumer sentiment index gained a 0.4 point, hitting 90.4. Looking elsewhere, producer prices retreated in July. The Producer Price Index for final demand dipped 0.4%. The core PPI, which excludes food and energy, was unchanged for the second straight month.

The week started out with mixed moves as the Dow and S&P 500 closed Monday in the red while the NASDAQ added gains. Major Energy brands retreated on news of increased crude oil inventories. Similarly, West Texas Intermediate crude oil slipped 3.9% to settle at $39.99 a barrel. The Institute for Supply Management’s Manufacturing Index fell by 0.6 point to 52.6, but despite the decrease, production ticked up and new orders held on to most of June’s gain. The indices fell fully into the red on Tuesday as oil prices weighed on the market. Crude oil shed 1.4%, settling at $39.51 a barrel. U.S. consumer spending rose 0.4% in June versus expectations of a 0.3% increase. Additionally, personal income edged up 0.2% for the same month, versus an expected 0.3% uptick. Stocks stepped up Wednesday on rebounding oil and other economic news. West Texas Intermediate crude tacked on 4.05% to settle at $41.11 a barrel. The Institute for Supply Management’s Non-Manufacturing Index registered a reading of 55.5, down from 56.5 in June. Results were mixed the following day as stocks traded relatively flat ahead of the July payroll report. Labor Department data showed initial jobless claims increased by 3,000 to 269,000 last week versus expectations of a dip to 263,000. Continuing claims decreased by 6,000 to 2.138 million in the week ended July 23. Indices closed Friday’s trading session in the green zone with the S&P 500 and NASDAQ hitting all-time high levels. Labor Department data showed the U.S. economy added 255,000 jobs in July versus an expected addition of 185,000. The unemployment rate held steady at 4.9% versus an expected decrease to 4.8%. Meanwhile, June’s numbers were upwardly revised to 292,000 from 287,000. 

Stocks closed Monday with mixed results on a slip in crude oil and anticipation of the Federal Reserve’s July meeting. Energy sector stocks led the way down. Tuesday, a handful of disappointing earnings brought the Dow Jones Industrial Average down. With nearly a third of the S&P 500 companies having reported quarterly results, earnings are on track to contract 4.5% in the second quarter from the prior year. Mixed moves continued mid-week with the Dow and S&P 500 shedding points while the NASDAQ landed in the green zone. U.S. stocks were little changed after the Federal Reserve held short-term interest rates steady. On Thursday, the Dow shed some points while the S&P 500 and NASDAQ closed with slight gains. Initial jobless claims ramped up last week as the Labor Department reported new claims increased by 14,000 to 266,000. Continuing claims climbed 7,000 to 2.139 million in the week ended July 16. In Friday’s mixed results, the Dow shed some points while the S&P 500 and NASDAQ added gains. West Texas Intermediate crude oil tacked on 1.1% to settle at $41.60 a barrel. Also on Friday, University of Michigan Consumer Sentiment Survey declined for July, shedding 3.5 points for a reading of 90, marking a three-month low. Additionally, the advanced reading for second quarter GDP disappointed, rising just 1.2% compared to consensus estimates of 2.6%. Overall, the S&P closed the week down 0.05% while the Dow lost 0.75% and the NASDAQ gained 1.23% for the week.

Stocks closed Monday with mixed results on a slip in crude oil and anticipation of the Federal Reserve’s July meeting. Energy sector stocks led the way down. Tuesday, a handful of disappointing earnings brought the Dow Jones Industrial Average down. With nearly a third of the S&P 500 companies having reported quarterly results, earnings are on track to contract 4.5% in the second quarter from the prior year. Mixed moves continued mid-week with the Dow and S&P 500 shedding points while the NASDAQ landed in the green zone. U.S. stocks were little changed after the Federal Reserve held short-term interest rates steady. On Thursday, the Dow shed some points while the S&P 500 and NASDAQ closed with slight gains. Initial jobless claims ramped up last week as the Labor Department reported new claims increased by 14,000 to 266,000. Continuing claims climbed 7,000 to 2.139 million in the week ended July 16. In Friday’s mixed results, the Dow shed some points while the S&P 500 and NASDAQ added gains. West Texas Intermediate crude oil tacked on 1.1% to settle at $41.60 a barrel. Also on Friday, University of Michigan Consumer Sentiment Survey declined for July, shedding 3.5 points for a reading of 90, marking a three-month low. Additionally, the advanced reading for second quarter GDP disappointed, rising just 1.2% compared to consensus estimates of 2.6%. Overall, the S&P closed the week down 0.05% while the Dow lost 0.75% and the NASDAQ gained 1.23% for the week.